00-0305R

RESOLUTION AUTHORIZING 2000 HOME PROGRAM GRANT AGREEMENT WITH NORTHERN COMMUNITIES LAND TRUST FOR CHDO AFFORDABLE HOUSING DEVELOPMENT IN AN AMOUNT NOT TO EXCEED $100,000.

BY PRESIDENT GILBERT:

RESOLVED, that the proper city officials are hereby authorized to enter into a HOME program CHDO affordable housing development grant agreement substantially in the form of that on file in the office of the city clerk as Public Document No. _________________, with Northern Communities Land Trust for its homeland program in an amount not to exceed $100,000 payable from 2000 Federal HOME Program Fund 260, Agency 020, Organization 2602, Object H009.


STATEMENT OF PURPOSE: The purpose of this resolution is to authorize a 2000 HOME Program CHDO Affordable Housing Development Grant Agreement with the Northern Communities Land Trust (NCLT). NCLT is designed as a Community Housing Development Organization (CHDO), and as such is being awarded City HOME Program funds "set aside" for CHDO as required by US Department of Housing and Urban Development (HUD). This will be the second year of HOME funding for the Homeland project. Homeland provides home ownership assistance for households at 80% of median income. The home buyer assistance includes down payment subsidy, low interest mortgages and rehabilitation grants. The $100,000 HOME grant will be used for the rehabilitation of 10 homes. The substantial increase in per home rehabilitation costs is based on the experience gained over the past year and new HUD regulations related to lead-based paint.